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MAS planning to keep some B777s and return all other aircraft on lease

25-Jan-2010 12:08 PM

Malaysia Airlines (MAS) stated the carrier plans to keep some of its older leased B777 aircraft in its future fleet plan, but will return all other aircraft on lease once leasing agreements expire, to cut costs (The Star Online, 23-Jan-2010). The carrier is currently leasing 81 aircraft, and plans to eventually own one third of its fleet in future. Under the fleet renewal plan, the carrier plans to take delivery of up to 56 aircraft by 2016, excluding options for 20 B737-800s and ten A330-300s. MAS expects the new aircraft to assist in its expansion plans, and plans to deploy B737-800s on domestic and regional routes, A330-300s on services to Australia/China/North Asia/Middle East and A380s to London and Sydney. The carrier is also considering implementing a “super-economy” class on its A380s.

Malaysia Airlines: “We’re spending a lot of money to modernise so we can stay competitive, and at the same time we want growth…We aim to own a third of our fleet to lower our costs. It’s definitely cheaper to own the aircraft than to lease it… As we move to new aircraft with newer technology, our operating costs will be much lower as it will burn less fuel and is more environment friendly. Just like your brand new car, the maintenance cost will be significantly lower,” Dr Amin Khan, Senior General Manager, Network and Revenue Management. Source: The Star Online, 23-Jan-2010.